China borrows as cheaply as US in dollar bond market
Beijing raises $4bn as debt costs relative to Treasuries fall to historically low levels
Beijing raises $4bn as debt costs relative to Treasuries fall to historically low levels

Sovereign borrowers are turning to lower interest rates in currencies such as the Chinese renminbi and Swiss franc

Beijing seeks to minimise domestic defaults but fears over credit quality persist

Low interest rates make renminbi an attractive funding currency for multinational companies

Yields on China’s debt are down marginally since the start of the conflict while those of other major economies have risen

US central bank to purchase short-term Treasuries just weeks after it stopped shrinking its balance sheet

If renminbi settlement becomes cheaper and more trade migrates, firms will have less need to generate or hold US currency